 this up here I'm gonna say f2 on the keyboard f2 plus f2 so I can scroll back down checking goes down we're negative on the checking so that's not good we're overdrawn we better collect on this soon but that's where we stand let's do the similar kind of process over here in in in the Quickbook software realizing noting that I put the cost of goods sold actually recognizing the cost of goods sold and then we'll recognize the revenue in a future presentation for that time period okay let's go back on over and let's say that we're in our projects now in QuickBooks in our project number two where we left off last time and I'm just gonna say we have an expense form and it's gonna be for project number two actually it's going to the a vendor that we're paying I'm making generic vendor here and we're gonna go through this and say this was I happened on 022825 and project two so it's pulling over the the data from the last from a from a prior expense from I'm gonna delete this stuff and put in a whole new thing so we could see it being put in place so I'm gonna say that we have materials that we set up the item for in a prior presentation and I'm gonna put the materials on the books for what we said we said seven thousand on the materials so alright seven thousand materials I'm gonna actually make it billable because I would like to pull the materials now over to the revenue recognition which I'm gonna report on an invoice so and some and I'm actually not gonna give that invoice externally this is gonna be for my internal revenue recognition and I'm gonna make it 30% markup that's gonna be the standard markup that that I'm gonna be using now let me before I record this I'm gonna delete this and just remind us that I turned on the billable items by going to the cog up top and accounting and taxes and then I'm gonna go to the expenses here and I'm gonna go to the bills and expenses and we have this I think they currently have it on by default I don't even think I turned it on this time it used to be off by default and you had to turn it on if you wanted to but I think it might have been on by default but in the case you want to have this on and then I've added the markup of the 30% because that's gonna be our markup we're gonna have our costs and then a 30% markup is gonna be our standard markup that's just the way our billing processes I'm gonna do something that'll populate automatically if I put that in place here and then I want it the track billable expense items as income that's generally the default that we would want but we're actually we're gonna be applying we're gonna be using items in conjunction so that'll be that'll adjust a little and then charge sales tax I'm not gonna charge the sales tax so we're gonna say okay keep it there and then we're gonna go back on over let's do it again boom s expense form this is gonna be random vendor number one date 022825 I'm gonna delete the stuff down here so I can re-enter it it's gonna be materials materials we set up an item for it last time and I'm gonna say once again this was 7000 I think 7000 billable 30% markup so the sales estimate comes up to that and then we're gonna say the class is gonna be class number two okay and then we have labor which I think was 3000 also billable and there's the markup this is gonna be class number two and so then we've got the overhead which came out to some random number of 1318 so 13018 billable comes up to that so there's the total of the 2318 which seems high let me check it out again k-passo 73318 733 this should be 33018 not 1 3 okay there's the 1318 so there's the 1318 and that 16923 is gonna be the revenue that we recognize so if I pull out the trustee calculator and we go back on over here I can see that that's gonna be what's gonna pull into the invoice from this item which will be 9100 plus 3900 plus 3923.4 there's that 16 that 16923 so that looks good we'll do that next time but that link is something that's gonna be kind gonna be important for our revenue recognition kind of recording if you don't you do it that anyways so let's what's this gonna do it's gonna reduce the cash account and the other side is gonna is gonna be going into the cost of goods sold driven by the items that we set up we didn't use the categories we use those items that are going to cost the goods sold so let's save it and close it and check it out so now we have an a cost of goods sold in our project that showed up this is basically the project is kind of like an income statement showing us the income statement performance accounts and then if I go to the balance sheet now we've got the checking accounts if I go into the checking account it's going down for the expense form that we put in place scrolling back up and back to our report income statement is the other side if I run the income statement then notice that I've got the expense which is happening now in February and that's the timeframe that we actually paid for the stuff so we're kind of and hopefully that's the point that we're kind of consuming it we're saying we're thinking in order to to make the whatever we're doing in the long project and then we're gonna match up the revenue I'd like the revenue to match up in the same month right so if this was my cost I'd like this revenue to match up in the same month which is what we'll do next time we can also see if we saw the profit and loss by the way for the whole year 010125 to 123125 and I break this out by classes now you can see our income statement job reports that are basically redundant to the classes but you get a nice job by job this way by using the classes and then you get a and then you get a total for all of it which is which is quite useful and if you assign everything and cost a good soul to a class it also gives you this non-specified item which is great because that tells you it didn't get assigned to a class so let's go into that I'm gonna say there's a problem here that didn't get assigned to a class I'm gonna go into that and say class to fix it then fix it it's bokeh it's bokeh so now I'm gonna say all right let's go back on over and run it so so now we've just everything's in class one or class two for our two jobs which is a little bit different than our report over here because if I look at my my project reports I usually see a profitability you know just for one job or I can look at a project report this way duplicate tab and go to reports on the left-hand side and project project profitability summary from 010125 to 123125 and run it running so you get this nice little breakout but it doesn't give you the full detail so this is kind of nice but you get this nice breakout here and then if you use the classes you also get some of the balance sheet accounts if I run the balance sheet accounts for the full year 010125 to 123125 I can see some not the checking account but the billing's account is breaking out by class and that can be useful because I would like to see what's in the billing's account on her job you know and so I can see that either this way or I can actually go into that billing's account and I can sort this area by customer and that'll break it out if I had more than one activity in the billing's account here it would break it out by billions and I can see the subtotals this way as well so so there's a couple different ways we can find the same information but I think that redundancy is actually useful okay that's enough next time we're going to go into recognizing of the revenue for that for this month